Payday loan consolidation with poor credit. Is it possible?
Is it possible to consolidate my payday loans? Yes, in fact there are more lenders today that offer payday loans. If you have a poor credit history and even a bankruptcy, then the odds are good that you may be approved for a payday loan.
This is because online payday loan companies are in the business of lending money. In order to make the payday loan business more profitable, they have set up underwriting guidelines so that people with poor credit histories will be turned down for a loan.
Unfortunately this means that people with poor credit are unable to get their money and can lose up to 60% of the amount that was borrowed in the form of late fees and interest on the loan. The old saying, “You get what you pay for” is very true when it comes to loans.
Is it possible to consolidate my payday loans? The answer is definitely yes.
Consolidating your payday loans is a quick and easy way to repair your credit rating. Once you apply for a payday loan through an online lender, you will receive the loan and pay it back to the lender in one single payment, once per month.
This allows you to use your cash flow in a different way and it is extremely convenient to carry out everyday expenses. Remember that when you consolidate your payday loans, your rates are lower than if you had to take out a new loan each month.
There are many good things about consolidating your payday loans
The most important thing is that you can easily get your payday loan payments paid off each month.
This makes it easier to pay for your other bills and make ends meet. The next benefit is that you will have a lower interest rate on your payday loan than you would have had if you were to have taken out a new loan.
In many cases you will find that the interest rates are a lot less than what you would have paid on a loan. This is beneficial to you and to the lender because they need to make as much money as possible each and every day.
It is also important to realize that you will only make one monthly payment. You will not be required to deal with collection calls from the lenders.
So this is why consolidating your payday loans is such a good idea. When you apply for the first time you will get a very low interest rate, so the more you borrow the lower your interest rates will go.
These are all good points for the borrower. Of course there are still negatives that come with consolidating your payday loans.